Merry Company uses the cash basis of accounting. Merry Company made $600,000 in payments to its suppliers during the year. Merry's beginning inventory was $20,000, and its ending inventory was $35,000. In addition, Merry had a beginning accounts payable of $40,000 and an ending accounts payable of $70,000. What is Merry's cost of goods sold under the accrual basis of accounting?
A) $585,000
B) $600,000
C) $615,000
D) $625,000
C
You might also like to view...
If a member of the upper class wore shredded Levi's jeans to a formal party, the person would be exhibiting a sophisticated form of conspicuous consumption known as ________
A) parody display B) invidious distinction C) downsizing D) status anxiety
The Depository Institutions Deregulation and Monetary Control Act that allows payments on interest on transactions accounts of individuals was passed in the year?
A. ?1990. B. ?1980. C. ?1965. D. ?1975.
Which of the following describes the limitations of vendor-managed inventory that retailers may encounter?
A. It is an added cost with little benefit for the retailer. B. Since the vendor owns the merchandise until it is sold by the retailer, at which time the retailer pays for the merchandise, a retailer bears a financial risk. C. Retail buyers and planners need to monitor inventory levels. D. When the vendor coordinates the supply chain for its specific products, it does not know what other actions the retailer is taking that might affect the sales of its products in the future. E. It takes longer for a product to go from design to ordering the product to having the product on the selling floor.
Which of the following is most likely a benefit of joint ownership?
A) It allows a firm to gain the financial and managerial resources that it may otherwise lack. B) It is the simplest way for a domestic company to enter a foreign market. C) It minimizes the need to build a new manufacturing facility in the foreign market. D) It allows one firm to acquire complete ownership of the other firm in the venture. E) It provides significant economies of scale for both the local firm and the foreign investor.